Exxon Mobil Profit in perspective

[javacontour]

Ok, so Exxon Mobil made 9.9B in profit on 100B in revenue or about 10% profit margin.

Big deal.

There are about 280M people in the US.

That's about $35/citizen during the quarter.

Big deal.

Do some research and find out how many companys make even larger profit margins.

Profit is not a bad word. If the company or business you work for doesn't turn a profit, either they are the government, a non-profit seeking donations, or will soon be out of business.

The first two live off the "evil" profits of successful business.

Profit is good.

T

 

[keith]

It's called "supply and demand". The cost of extracting oil didn't change, the cost of a barrel did. The difference between the two is - profit. Big oil companies buy futures so they are getting much of their oil for less than the spot prices, further improving - profit.

Not to fear, we will soon have investigations over why the profits have increased. It sure is a big mystery.

 

[Schmoe]

Mystery? Most of the oil companies are now huge conglomerates and can dictate what ever they want to. And if you don't like it, where you going to go?

 

[kenw]

like the drug issue, unless you dry up demand from the junkies, there will always be those who are willing to provide the drug.

We P*** and moan about gas prices and still drive 2 ton v8 mulletwagons and bubbabuggies to the office.

Who's the fool?

 

[keith]

quote:

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Originally posted by Schmoe:
Mystery? Most of the oil companies are now huge conglomerates and can dictate what ever they want to. And if you don't like it, where you going to go?

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... and when those huge powerful Big Oil conglomerates were selling gas here at near $1/gallon only a few years ago, making almost no profit, why was that?

 

[GROUCHO MARX]

Too bad China uses oil instead of producing it. Then we'd be sitting in butter.

 

[Matt_S]

Lets all keep in mind that the oil companies don't control either the price of oil or the price of gas. Those are both publicly traded commodities. The free market sets the prices. The oil companies may be riding high now, but who knows what may happen a year or two from now. They may still be doing well or they may be in bankrupcy court.

 

[ALS]

javacontour: So they made a whole $2.70 per week or .385 cents a day per person. Heck Starbucks makes more than that on their daily customers. How much profit do you think your neighborhood grocery store makes per person? How about McDonald's per customer?

 

[LTVibe]

quote:

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Originally posted by javacontour:

Do some research and find out how many companys make even larger profit margins.

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Industries With Higher Profits

(From XOM website)

 

[javacontour]

quote:

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Originally posted by Bob Woods:
The oil companies profit margins aren't much different from Walmarts, about 6-8%. Besides what'ca you bitching about, if you own mutual funds or have a retirement program at work you will get part of that profit. Yet today we still enjoy the cheapest gas prices in the industrialized world.

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I don't think I was complaining. Well at least not about the oil companies.

My complaint was more along the lines of those uninformed folks who just look at a big number without putting it into perspective.

T

 

[brianl703]

The phenomenon known as illnumeracy.

 

[NJC]

quote:

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Originally posted by brianl703:
The phenomenon known as illnumeracy.

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Innumeracy..?

 

[javacontour]

quote:

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Originally posted by njc:

quote:

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Originally posted by brianl703:
The phenomenon known as illnumeracy.

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Innumeracy..?

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http://innumeracy.com/

 

[NJC]

quote:

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Originally posted by javacontour:


[snip]

That's about $35/citizen during the quarter.

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Because it cost us little doesn't justify anything.

quote:

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Big deal.

Do some research and find out how many companys make even larger profit margins.

Profit is not a bad word. If the company or business you work for doesn't turn a profit, either they are the government, a non-profit seeking donations, or will soon be out of business.

The first two live off the "evil" profits of successful business.

Profit is good.

T

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Profits may not evil but should the sky be the limit. And are these companies operating under free markets or are they subsidized?

http://en.wikipedia.org/wiki/Free_market

And should essentials (food, home heating, medical services etc) be exempt from free markets or is everything fair game. And is gasoline considered an essential? I'd say no but it's very woven into our societal fabric and will require a difficult change to do without.

I agree to pay the gas prices because I think my time is worth more than spending an extra ~2hrs/day to take transit to/from work. And I agree it's cheap on a relative scale.

 

[Steve S]

quote:

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Originally posted by kenw:
like the drug issue, unless you dry up demand from the junkies, there will always be those who are willing to provide the drug.

We P*** and moan about gas prices and still drive 2 ton v8 mulletwagons and bubbabuggies to the office.

Who's the fool?

---

knew you are the man!!!

 

[Pablo]

I am free market as the next fat person, and supply and demand should rule the day. However, oil supplies are not only subsidized in all sorts of ways with U.S. tax dollars, we have been known to pay with our lives, our blood and our dogged watchfulness in Gawdforsaken lands.

Then the freaking gas sellers jack the jill out of gasoline prices in Seattle when some peckerwood tree falls down in Florida? That is not free market, it's robbery!

 

[Johnny]

I didn't know they had peckerwood trees in Florida.

 

[Bob Woods]

Part of the reason for high prices is to limit the use of the product. I too wish we could go back the 30 cent a gallon gas, but I sure as **** don't want to work for a buck an hour.

 

[buster]

I agree with Pablo. I'm all in favor of the free market system. How can you not be? Look at how great this country has become due to it. But, the goverment must always watch and be the referee so things like price gouging don't take place.

 

[GROUCHO MARX]

Most of the price fixing that goes on in gasoline occurs when retailers in the same vicinity collude and agree not to drop prices.

This is where the consumer gets hosed.